(604) 719-2757

Wealth management
(Personal and Corporate)

Contact Us
RRSP - Registered Retirement Savings Plan

A Registered Retirement Savings Plan (abbreviated to an RRSP) is a savings account that offers you a simple way to put money away for your retirement. A key feature of an RRSP is the fact that it is registered with the federal government. Here, we will explore some notable reasons to save for your retirement in this way.

  • Your investment is tax-free.
  • Your contributions are tax-deductible
  • You are able to show the contribution that you make towards your RRSP as a deduction on your annual tax return.
  • You can save even more tax by taking out a spousal RRSP
  • Another great tax benefit of these plans is the fact that you can combine your tax-free savings within a spousal RRSP and then more equally split your retirement income between you, again leading to potential further tax savings.
  • You can transfer your RRSP when you retire
  • You can withdraw from your RRSP under certain conditions
    You won’t pay tax on withdrawals from your RRSP in particular circumstances. 
TFSA - Tax-Free Savings Account

A TFSA can be an effective way to save for the future, even for those who are only able to save a little every year, as your savings will grow more quickly due to the fact that you do not pay any tax on the earnings. Here are some reasons to help you decide whether it would be financially beneficial for you to open a TFSA:

  • If you are looking for a flexible way to save, a TFSA could be a good option as it allows you to carry forward any unused contributions to subsequent years. In addition, you are able to credit any withdrawals that you have made back into the TFSA to enable you to benefit from the maximum savings potential.

  • You may already be investing the maximum amount possible into an RRSP. In this case, investing money into a TFSA allows you to draw income from it when you retire, without paying any tax on the withdrawals.

  • If you are on a low income and therefore receive money from the federal government such as the Canada Child Tax Benefit, your TFSA will not affect the amount of benefit that you receive.

  • You should bear in mind that you have already paid tax on the funds that you invest into your TFSA. Therefore, if you expect that your tax rate will have increased by the time that you withdraw your funds, you will have paid fewer taxes in total. Remember that the opposite applies to your investment in an RRSP.

  • A TFSA offers you the option of keeping investments that would usually be subject to a higher rate of tax-sheltered, as you do not pay tax on the earnings.
RRIF - Registered Retirement Income Fund

A Registered Retirement Income Fund (or RRIF) is usually opened when you transfer money from an existing RRSP. It is a type of savings account that has the advantage of providing you with a consistent and regular source of income in your retirement.

Non-Registered Investments

Although the government doesn’t provide any financial incentives like in Tax-Free Savings Account (TFSA), Registered Retirement Savings Program (RRSP) or Registered Education Savings Plan (RESP), non-registered savings plan make sense if you’re looking for flexibility for saving for a short, medium or long term goal, such as a car, home or retirement.

 

RESP - Registered Education Saving Plans:

A Registered Education Savings Plan (RESP) is a special savings account that can help you, your family, or your friends save early for your child’s education after high school. The Government of Canada allows savings for education to grow tax free until your child named in the RESP goes for post-secondary education (after high school). The child named in a RESP is known as a beneficiary. A parent, grandparent, other relative, or friend, can open a RESP for a child. The person who opens a RESP is called a subscriber. When you have a RESP, you can start saving immediately for your child’s education in the future. Many parents wonder how much to save. They also wonder how soon they should start. The answer is simple. Save as much as you can afford. Start today. By starting early, tax-sheltered earnings on your savings can grow surprisingly quickly. Further, if you are saving for your child’s education, the Government of Canada will help you with special saving incentives that are only available if you have a RESP, including the Canada Education Savings Grant and the Canada Learning Bond.

Retirement planning:

The adage, “Don’t put off until tomorrow what you can do today” is particularly true of retirement planning.

Funding retirement or staying within your budget during retirement demands commitment. Undoubtedly, it is an obligation that entails sacrifice and careful planning. Although this commitment is extremely important, few find the time to adequately address their future income needs.

The situation is compounded by the myriad of institutions claiming to have the solution. The outcome is typically confusion, which leads to inaction.

We can help you to create an understandable saving and investing strategy designed to provide a favourable retirement outcome.

The process entails an analysis of relevant factors, such as government programs, pensions, other sources of retirement income, historical rates of inflation indexing and life expectancy.

Clients are frequently surprised to discover the confidence that evolves from proper planning.

Credit Proofing Your Assets

If you name your spouse, child, parent or grandchild as the beneficiary of your investments, or if you name an irrevocable beneficiary, in your guaranteed investment funds your investments may be protected from seizure by creditors. This is an important benefit to professionals and small business owners or anyone who could be involved in a lawsuit or bankruptcy.

Annuities:

An annuity is like a mortgage payment in reverse. Instead of borrowing money, you are investing money with a financial institution. With a simple, one-time deposit, the financial institution will make regular income payments to you that contain both interest and principal. But, unlike a mortgage that ends after a specific period, annuity payments can continue for the rest of your life, no matter how long you live.

People with various needs and financial goals choose annuities. Some examples of people who typically purchase annuities include those who:

  • require a dependable stream of income for life
  • require a dependable income for a specific time period
  • are not interested in making on-going investment decisions and want a simple investment
  • don’t want to worry about outliving their income
  • want to diversify their investment portfolio.